Section 357NH | Payments and receipts in respect of intangible assets

(1)No deduction is allowed in calculating the profits attributable to the company's NIRE for royalties paid, or other similar payments made, by the NIRE to any other part of the company in respect of the use of intangible assets held by the company.

(2)But a deduction is allowed in calculating the profits attributable to the NIRE for any contribution by the NIRE to the costs of creation of an intangible asset.

(3)No receipt is to be brought into account in calculating the profits attributable to the NIRE for royalties or other similar amounts received from any other part of the company in respect of the use of intangible assets held by the company for the purposes of the NIRE.

(4)But a receipt is to be brought into account in calculating profits attributable to the NIRE for any contribution received by the NIRE in respect of the costs of creation of an intangible asset.

(5)In this section “intangible asset”—

(a)includes any intellectual property (as defined in section 712(3) of CTA 2009), and

(b)subject to that, has the meaning it has for accounting purposes.